Consultation Fees Not Included in Increase

Landlord applied for MCI rent hikes based on the installation of a boiler/burner, exterior restoration, asbestos abatement, and pipe reinsulation. The DRA ruled for landlord but disallowed certain costs. Landlord appealed, claiming that the cost of engineering and consultation fees should have been included in the MCI increase for the boiler/burner. The DHCR ruled against landlord. Tenants shouldn't have to pay for supervisory and administrative expenses in relation to an ordinary boiler/burner installation when landlord already employed a licensed, professional contracting company to perform the work.

Walter & Samuels: DHCR Adm. Rev. Dckt. Nos. IK430029RO, IK430139RT (12/23/98) [3-pg. doc.]